How much tax is deducted from a Kerala lottery prize?
When you win a Kerala State Lottery prize above ₹10,000, two deductions apply before you receive the money:
- Agent commission — 10% of the prize, paid to the agent who sold the winning ticket.
- Income tax (TDS) — 31.2% of the balance, under Section 194B: 30% tax plus a 4% health & education cess.
Small prizes of ₹10,000 or less (the ₹100 to ₹5,000 tiers) are paid in full at any lottery shop, with no deduction.
Worked example — ₹1 crore first prize
| Item | Amount |
|---|
| Prize won | ₹1,00,00,000 |
| Less: agent commission (10%) | − ₹10,00,000 |
| Taxable balance | ₹90,00,000 |
| Less: income tax + cess (31.2%) | − ₹28,08,000 |
| Take-home | ₹61,92,000 |
That is roughly 62% of the headline prize — matching the ~63% take-home figure the Directorate of State Lotteries has cited under RTI.
Important notes
For very large prizes (broadly above ₹50 lakh), an additional income-tax surcharge may apply when you file your return, reducing the net a little further. Lottery winnings are taxed at the flat 30% rate with no basic exemption and no deductions under Section 80C. This calculator gives a close estimate for planning only — for the exact figure, consult a chartered accountant and the official Kerala State Lotteries rules.
Check today’s numbers on the live result, the biggest prizes on the jackpot page, or any past draw in the result chart.
How much tax do I pay on a Kerala lottery prize?
Prizes above ₹10,000 attract 31.2% income tax (30% TDS + 4% cess), charged after a 10% agent commission is deducted. Prizes up to ₹10,000 are paid in full with no deduction.
How much do I take home on a ₹1 crore Kerala lottery prize?
About ₹61.9 lakh. From ₹1 crore, ₹10 lakh (10%) goes to agent commission, leaving ₹90 lakh; 31.2% tax on that is ₹28.08 lakh, so the take-home is ₹61,92,000 — roughly 62%.
Is there tax on small Kerala lottery prizes?
No. Prizes of ₹10,000 or less (the ₹100 to ₹5,000 tiers) are paid in full at any lottery shop, with no TDS or commission deducted.
Can I reduce the tax on lottery winnings?
No. Lottery winnings are taxed at a flat 30% under Section 194B with no basic exemption and no deductions (such as 80C). A cess, and for large prizes a surcharge, also apply. Consult a chartered accountant for your exact liability.